Baxter, 17, was one of three men arrested in Kirkby on Monday on suspicion of possession of cannabis with intent to supply and on suspicion of possessing counterfeit money.

The striker is the youngest player to represent Everton following his introduction, aged 16 years and 191 days, as a substitute in a Premier League game against Blackburn Rovers in August 2008.

"Three men have been arrested in Kirkby on suspicion of possession of cannabis with intent to supply and possession of counterfeit money," said a spokesman for Merseyside Police. "All three men have been released on police bail pending further inquiries."

Baxter is a product of the club's youth academy having joined Everton aged just six and has made two substitute appearances in the Europa League this season.

He has represented England at youth level and was an unused substitute in the FA Cup final defeat to Chelsea last season.